Get an IWLA Americas Staffing Provider That Works for You
By Allegiance Staffing
May 12, 2015
In 2014, Allegiance Staffing conducted a survey which yielded some strong results. The survey found that the majority of third party logistics companies are unhappy with their staffing providers. The reason, Allegiance president Tom Landry states, is that — in spite of a growing use of automation in order to do a job faster and more reliably — a company’s labor force is still critical to its operations, yet its decision-making in how it will be staffed often does not reflect that.
An example, Landry recently shared with 3PL Americas (Click Here To Read the Article on Page 11), is a 3PL who would spend half a million dollars on a new piece of equipment but would choose with the cheapest staffing provider available. Another company pays its workers about $2 an hour less than the area’s average wage for the type of work being done. The result? Excessive turnover, a company constantly training new employees, additional money being paid out for overtime, and about $2 million more being paid for wages than anticipated. Highlighting the fact that price does not equal cost.
If you’re looking for your staffing provider based solely on who offers the lowest price, you’re likely going to be unhappy with the results just as many 3PL companies are. That low price is probably not going to cover important aspects of hiring, including the screening of workers that are being sent to you. A good staffing company’s screenings should include a test of the worker’s skills, an assessment of his or her character and reliability — including background checks and references — and U.S. worker eligibility. Without these screenings, a high worker turnover rate is just one costly liability you’ll face. Others include the lack of consistent quality, inefficiency, high administrative costs, and even OSHA compliance issues.
Allegiance Staffing is an IWLA Americas staffing provider focused on offering you better qualified workers in order to maximize your labor efficiency. No, we are not the lowest-priced staffing provider available to you. But, our careful 3-Day Hiring Process and our commitment to customizing your labor solutions makes us the most cost effective one. Contact us for more information.